Spotify today announced that it has submitted a new version of its App Store that shows pricing and feature information for the audio company's various plans in the EU. The update, which is pending Apple approval, also includes a link for users to purchase a subscription plan from Spotify's website.
Earlier this week, the European Commission fined Apple a hefty 1.84 billion euros ($2 billion) for its anti-competitive practices in the music streaming market. EU competition chief Margrethe Vestager told a press conference that Apple should stop its anti-steering behavior.
“Going forward, Apple will have to give music streaming developers the freedom to communicate with their users, whether it's within apps, by email or other means of communication,” she said.
What Spotify's app will look like if Apple approves the changes Image credit: Spotify
According to The Verge, following this decision, Spotify has submitted this new version containing information about subscriptions, offers, and links to purchase them. The audio company currently doesn't display prices for its various plans on the app, and you'll see a message like “You can't upgrade to premium in the app.” I know it's not ideal. ”
Spotify teased a number of changes to the Digital Markets Act (DMA) in January, including the ability to subscribe through in-app purchases and buy individual audiobooks directly from the app. However, Apple released compliance methods a few days later, squashing the potential of many of these changes.
If businesses accept Apple's changes, they will have to pay new “core technology fees” associated with multiple downloads from any source. That could mean high bills for companies like Spotify, which boasts millions of downloads.
Spotify said in a blog post that this sends a signal that even “monopolists like Apple” cannot “abuse their power” to control how other companies interact with their customers. “It's a powerful message.”
In response, Apple said it plans to appeal the EC's decision and said Spotify is the “biggest beneficiary” of the App Store. Apple says that while Spotify enjoys a majority of market share in Europe's music streaming market, it “pays Apple nothing for the service that has made it one of the most recognized brands in the world.” he pointed out.